Processing of recurring payments is important for every subscription business. Payments, wen received in time not only maintain influx of resources but they are also the source of earning recurring revenue. However, the payment processing is a complete process that is interlinked with many other subscription business processes. If you want to maintain the processing of payments, then it is crucial to maintain the many other business processes that are interlinked with payment processing, for instance, recurring billing.
In this article, you can read tricks to set up a system of recurring payments so as to manage your subscription business effectively.
Adopt Automatic Recurring Payment System
An automated recurring payment system is necessary for every subscription business. Some startups and small-scale businesses opt for using the limited subscription handling functionalities that are offered by some payment gateways. Whether you have a small or a large subscriptions-based business, always opt for specially designed automated billing and payment system. It streamlines all business processes on the same platform. So, an automatic recurring payment system is needed for glitch-free processing of recurring payments.
Integrate Multiple Payment Gateways
How does integrating multiple payment gateways benefit the recurring payment processing? To know the answer to this question, first, you need to understand what is the payment gateway. Payment gateways makes the online transactions secure. They encrypt the information of those customers who pay through their bank cards. They encrypt the information of card to keep it secure. Moreover, when you are using multiple payment gateways the chances of declined payments are less. Because, even if somehow one payment gateway is down, the customer will still be able to pay because the other payment gateway would have been working.
Offer Multiple Currency Support
Many subscription businesses target international customer, and in order to cater to these international customers, it is better to offer multiple currency support. It is feasible for customers to pay in their local currency. Many online recurring payment processing systems offer their clients to offer customers multiple currency support. If you offer multiple currency support, the chances to receive your payments on time increase. Also, the customer satisfaction increases. Just think that you purchase something online and the system does not offer you to pay in your local currency. First, you will need to calculate the amount that you are liable to pay in your currency, then there are sometimes payment processing charges, etc. So, it is pretty annoying. Just like this, it is annoying for recurring customers as well to pay in some other currency.
Opt for Dunning Management
Dunning is the process of recovering those payments that the customers have not paid. One of the major reasons for late payments is involuntary customer churn. For any reasons, customers pay their recurring charges late. Some automatic recurring payments systems do not allow their customers to retry to pay their recurring charges. In that case, the system automatically cancels their subscriptions because of late payments. Subscription management software offers dunning management. It is the process of sending customers notifications and emails to ask them to try to repay their recurring charges. The most important thing in the dunning is the tone of the messages that you send. That is the reason that many people opt for using the recurring billing and payment processing systems.
If you are up for setting up recurring billing and payment processing system, then you need all the features that are mentioned in this article. Only then, you can expect to set up a glitch-free subscription handling and recurring payment management system. A streamline payment processing system is very important to maintain the flow of recurring revenue. If the low of recurring revenue is maintained, then you can expect return on investment (ROI) and expected business growth.